hi all,my take on the deal isdue to covid the malaysia plant...

hi all,
my take on the deal is

due to covid the malaysia plant will be significantly delayed so!!,
the "essential queensland" business is a near term cash generation business opportunity
with the potential to feed a local glycell plant with biomass ,so synergies certainly could be
gained by that

the upside is near term cash generation to hopefully fund a glycell plant nearby and
to fund the day to day operations

the downside is because we have no financial info as to what sort of income ( profit ) that
"essential queensland" will potentially generate, is the price paid for the business fair value!!,
surely a financial study was done before building the 8000tpa plant?
they talk of "net" debt for "essential queensland" not actual debt, how much debt would we be taking on?

imo they should have released the financial details, hopefully they will before a vote is taken on
purchasing "essential queensland"

whilst i am quietly optimistic i am concerned at lack of financials, i have been burnt in the past
( companies i've invested in doing these sorts of deals and fall in a heap) because not all info
was fully disclosed